The National Transport Strategy(NTS) will aim to provide a single, comprehensive, national statement of the ScottishExecutive’s priorities and plans for the future. It will build on our White Paperof June 2004 by showing how transport will contribute to our five key priorities(economy; environment; social inclusion; safety, and integration) over the mediumto long-term. The recent NTS consultation included a section relating to issueson fares, including the question of cost of public transport fares. We are currentlyconsidering the responses to the NTS consultation.

Transport Scotland willpublish a rail strategy later this year which will set out the priorities for Scotland’s railwayover the short, medium and longer term. Fares policy is likely to be a key leverin achieving our aspirations. A research study to ensure that future options forfares policy and fares regulation are based upon the most relevant and robust Scottishdata is currently underway. Transport Scotland will work with First ScotRail and look to improve uponthe existing fares structure considering in particular options to move towards asingle small family of easily recognisable and easy to market fares in Scotland.

Transport Scotlandofficials meet with First ScotRail at least weekly across a range of topics toensure that all contracted commitments to improvement are delivered and todiscuss improvements to existing services and the introduction of new services.

The franchise agreement requiresFirst ScotRail to produce a number of specific reports on performance. Thesereports are closely scrutinised by Transport Scotland officials who look toFirst ScotRail to deliver the best performance for the public subsidy. There arerobust performance regimes contained within the franchise agreement to ensurethat the standard of rail services provided by the franchisee continuallyimproves over the life of the franchise. The franchisee faces significantfinancial penalties where performance targets are not met.

The terms of the franchiseagreement set out what First ScotRail will deliver for the subsidy received.Overall, the financial model underpinning the contract did not anticipate adecrease in rail ticket prices.

The franchise agreementcontains conditions restricting the amount by which regulated fares canincrease. Transport Scotland officials scrutinise changes in regulated fareslevels to ensure that First ScotRail operates within the terms of the franchise.Changes in unregulated fares are a commercial matter for First ScotRail.

We have received assurancesfrom First ScotRail that the re-structuring of a small number of unregulatedfares aims overall to encourage further off peak travel and reduce overcrowdingon peak trains. On that basis we would not anticipate any significant impact onpassenger numbers.

In the last several years wehave seen increases of circa 10% year on year in the number of people choosingto travel by train. We are committed to work to continue that trend, focussingin particular on improving punctuality and service quality.

Scottish Ministers willspend approximately £1.9 billion in subsidy payments to First ScotRail over theseven year life of the franchise. The level of subsidy is based on theoperating costs incurred by First ScotRail in delivering the contracted levelof service as well as an agreed level of profit.

The subsidy paid to FirstScotRail represents payment of these costs net of the revenue generated fromticket sales. The Executive has driven, through the franchise agreement andtheir funds, greatly improved levels of service, punctuality and quality aswell as implementing the various performance regimes contained in the franchiseagreement. Where performance targets fail to be met, the franchisee facessubstantial financial penalties.

Estimates of economic inactivityare taken from the Labour Force Survey (LFS). Table 1 provides estimates of workingage economic inactivity for Glasgow, Edinburgh and Dundee Local Authority areasfor 2000-04.

The estimates are based on asample survey, and as such, are subject to some sampling error. Taking this samplingerror into account, the changes in the estimates over time are not statisticallysignificant.

Table 1 Working-Age¹Economic Inactivity by Selected Local Authority Area, 2000-04²

	Dundee City	City of Edinburgh	Glasgow City
2000	21,000	54,000	108,000
2001	20,000	54,000	121,000
2002	22,000	58,000	113,000
2003	20,000	61,000	110,000
2004	20,000	60,000	105,000

Source: LabourForce Survey, Annual Data.

Notes:

1. Working ageis defined as 16 to 64 for men and 16 to 59 for women.

2. Data basedon seasonal years (March to February).

3. Data arerounded to the nearest thousand.

The following information isavailable:

Number of HIV+ve Individualsby Allocated Health Board* and Year of Report to HPS 2001-05, source HIV/AIDS toDecember 2005

Allocated Health Board*	2001	2002	2003	2004	2005	Total
Argyll and Clyde	5	11	8	10	16	50
Ayrshire and Arran	5	8	3	7	5	28
Borders	1	4	8	2	3	18
Dumfries and Galloway	4	1	4	9	10	28
Fife	5	14	7	18	12	56
Forth valley	6	4	4	6	14	34
Grampian	20	14	28	21	34	117
Greater Glasgow	40	80	93	121	110	444
Highland	3	6	5	5	7	26
Lanarkshire	8	11	11	22	21	73
Lothian	57	73	83	110	128	451
Tayside	20	12	18	23	19	92
Total	174	238	272	354	379	1,417

Note: *Health Board of Residenceor, if unavailable health board of where specimen or HIV testing was taken.

Number of HIV+ve Individualsin Scotland known to be in Clinical Care 2001-05

Allocated Health Board*	2001	2002	2003	2004	2005
Argyll and Clyde (GG)	35	41	46	53	60
Argyll and Clyde (Highland)	11	12	13	14	15
Ayrshire and Arran	36	40	39	46	48
Borders	13	12	20	23	25
Dumfries and Galloway	16	15	17	26	37
Fife	64	71	78	90	98
Forth Valley	26	29	30	35	48
Grampian	88	96	108	123	148
Greater Glasgow	280	330	402	495	567
Highland	12	5	4	3	6
Lanarkshire	52	61	66	80	95
Lothian	605	658	686	755	842
Shetland	4	2	4	5	4
Tayside	150	156	161	165	183
Western Isles	1	1	1	1	1
(blank)	1	1	1	1	0
All Scotland	1,394	1,530	1,676	1,915	2,177

Note: *Health board of residenceor, if unavailable health board of where specimen or HIV testing was taken.

The breakdown of funding on informationservices for people with HIV/AIDS is not held centrally. Services provided by NHSboards and NHS Health Scotland would be met from their general allocation.

However,the Executive currently allocates £8.6 million per annum to NHS boards for actionto prevent the spread of blood borne viruses (BBV), and to support people who havecontracted BBV, including HIV/AIDS.

Inaddition, the Executive also funds a number of voluntary organisations through theSection 16B Funding scheme. The organisations which received funding towards supportingpeople with HIV/AIDS, within the financial year 2006-07 are:

PHACEScotland receives core funding of £32,000 and project funding of £9,769;

HIVScotland receives core funding of £85,000 and project funding of £204,500;

NationalAids Trust receives core funding of £12,000;

PositiveSteps Partnership receives core funding of £45,000 and project funding of £50,000,and

Waverley Care receives core fundingof £7,636. Waverley Care also receive Section 10 project funding of £62,044.

This information is not heldcentrally.

Health Protection Scotland (HPS)is responsible for monitoring the diagnosis, clinical investigation and treatmentof all HIV infected persons in Scotland. HPS data indicate that all diagnosed persons have accessto HIV specialist care, including the most up to date laboratory tests and, if appropriate,the most comprehensive range of anti-retroviral therapies to prevent HIV diseaseprogression. No inequities in service provision, in the context of geographicalarea of residence, sexual orientation, injecting drug use status, ethnicity andcountry of origin, are evident.